Vanguard Will Launch
New Fund-Pricing Plan

By

Aaron Lucchetti Staff Reporter of The Wall Street Journal

Updated July 27, 2000 11:45 p.m. ET

Mutual-fund giant Vanguard Group is launching a pricing plan that may raise fees slightly for some investors in its low-cost investment portfolios, while cutting them for larger clients and longtime shareholders.

The pricing adjustments are being rolled out to encourage the most-desirable categories of fund shareholders -- big investors who do little trading-to keep their assets at Vanguard for a longer period of time. In recent years, investors' rapid trading has become a costly problem for fund firms, including Vanguard,...